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As great as ERP suites are, organizations often have needs that outpace the core functions they offer. The good news is that integrating an ERP suite with other software or services is very common and tends to work out well (though not without some cost or inconvenience). These ERP bolt-ons or add-ons sometimes require additional hardware and additional IT skills to support and data may need to be synchronized to the data in your ERP system. Although the integration to outside services may not be as seamless as the integration that goes on among the various models inside your ERP system, it typically does work out well.
See the full post clicking here: http://panorama-consulting.com/beyond-the-erp-core/
 

It is inevitable that challenges to your organization will arise. It also is inevitable that these challenges will come from a variety of sources (e.g., new competitors, new competitive technologies, new organizational structures, etc.). In this day and age, mergers, acquisitions, re-organizations, spinoffs and discontinued business units are facts of life. The challenge of dealing with them is a major driver of business change. Business units that once were positioned in different regions of the country are now commonly positioned in different regions of the world. Markets and technologies used by customers and suppliers seem to change yearly. And internal “blue ocean” strategies, in which companies pioneer new products, services and markets to unlock new demand, are key to staying afloat.

The responses to challenges are changes. 

Full post: http://panorama-consulting.com/challenges-for-your-organization-changes-for-your-erp-system/

In two-tier ERP deployments, the operating units operate ERP systems that are different than the ERP system at the corporate level.  This architecture acknowledges the reality that the corporate level is often concerned with financial consolidaton.  The operating units are often concerned with operational issues.  Operations can be quite different from one another.  Some may do discrete manufacturing.  Other operations may do process manufacturing.  Two-tier ERP deployments acknowledge the differences and allow the different business units to stay well-focused and fit to their unique environments.
Keeping each business unit separate is helpful in the event that business units are sold or acquired.  Often, the most important data to share with corporate is the month-end financial results and spend analysis.  Single-tier ERP deployments are convenient for corporate-wide reporting including reports for audit and compliance.   Single-tier deployments make more sense where there is heavier use of shared service centers across a company.  Two-tier ERP deployments are a fit when operations differ widely.   Business units enjoy a bit of autonomy that their own ERP provides.  
A variation is use of the same ERP platform across a corporation but with different ERP instances at different business units.
See also: Two-Tier ERP Deployments Gain Steam. Link: http://bit.ly/lfAwKh.  
 
 

While great implementation of Business Systems (ERP, CRM, BI, more) is very important, much of the value of Enterprise Systems will often be derived by what's done beyond implementation.   In particular, here's what's needed:

• User adoption - Users need to adopt the system and enjoying using.  They need to believe in the value of entering data.  For example, adding substitute part numbers needs to be done with the belief that the information will add value later.  Adding an additional customer or supplier contact, needs to be done with the belief that the extra information will prove valuable.  These are little things that no one may see.  Adding notes and file attachments to orders is another little thing.  Great user adoption and inputs helps to make a business system to be greater after it is implementented.
• Optimization -
  • Better business processes - Basic business processes may be implemented at the start but better business processes should be introduced whenever possible. This is where KPI's and other metrics become important.   Can we turn quotes to orders more quickly and more often? Can we turn orders into shipments more quickly?  Can we reduce asset investment and speed up payment?  Can we grow margin across a dimension of the business? Enterprise systems enable us to measure many of these things and business process improvements enable us to report more favorable numbers in the measurement.  
  • Added Automation  and Integration - During implementation, you may have agreed to cut scope a little and leave out some modules, features, and integration pieces that you ideally you would have included.  Now, it the time to go back and pick up the additional fruit that it can add additional value.
• Your business system is a platform for business excellence.  It's your source for keeping on top of transactions and information.  It's your source for mining and reporting a wealth of information.  May your business systems live long and prosper after implementation and bring value beyond your expectations!

CIO Magazine has published an extensive, in-depth story about Open Source CRM and ERP.  CIO story link: tinyurl.com/mpt7ah  CRM and ERP systems capture capture transactional activity for marketing, operations, and finance.
 
The CIO story describes the value provided by robust open source enterprise products like SugarCRM, Openbravo and Compiere.  It also describes complementary products and community resources.
 

Strong and agile business systems are essential for success in today’s competitive business environment. Great information technology systems enable people to collaborate for effective and efficient results.  Great IT systems provide a competitive advantage.
 

A key indicator of the success of a system implementation project is whether users will use the system. Adoption by users is related to the culture of an organization. Sometimes, great software products are not used solely based on the culture of the organization where they were implemented. At other organizations, simple spreadsheets are widely used. Involving users during implementation is a great way to increase the likelihood that users will be involved after implementation.

Great products have fans who may want to wear their product's logo on their clothes and display it on their web sites. Great software products regularly have active web communities that contribute to discussion forums and contribute add-on products. Great products often have communities on Facebook or Twitter that follow them. A great product community is a sign of a great product.

Great System Infrastructure enables your people to collaborate and work productively! Great System Infrastructure is a competitive advantage!

Costs for computer processing power and storage capacity have declined more than costs for ERP and other software. Software is still labor-intensive. Software platforms, higher levels of abstraction, and open source software communities are changing that.